Space Logistics Market Expected to Reach $19.8 Billion by 2040—Allied Market Research

According to a new report published by Allied Market Research, titled, “Space Logistics Market," The space logistics market is expected to be valued at $4 billion in 2030, and is estimated to reach $19.8 billion by 2040, growing at a CAGR of 17.3% from 2030 to 2040.

North America currently dominated the global industrial vehicles market in 2021. This is primarily due to the U.S. Transportation Command (TRANSCOM) having invested a lot of research & development in figuring out whether point-to-point space launches would ever be possible due to the idea of space exploration becoming commercialized. The concept obviously confronts numerous difficulties, such as how the cargo will be delivered, the cost of launching and landing vehicles, the reusability of rockets and cargo ships, and the infrastructure required to accept cargo. These would create a need for space logistics and management systems across the country.

Cargo spacecrafts are employed by the nation for a variety of different functions, including the provision of propellants and fuel, crew provisioning and operations, maintenance and upkeep, stowage and restraint, waste and disposal, habitation and infrastructure, transportation and carriers, and many others. Commercial cargo transport systems profit greatly from supply trips to space stations such as the International Space Station (ISS) and Tiangong Space Station. In 2012, SpaceEx dispatched a robotic capsule, a Dragon cargo spacecraft derivative, with 400 kg of supplies for NASA's International Space Station (ISS) crew members, including food, clothing, experiments, and spare parts. It brought back the ISS medical samples and broken equipment. It was the first of 12 missions the business was contracted to carry out for NASA. The same SpaceX Dragon cargo ship delivered more than 4,300 pounds of food, experiments, and spare components to the research lab in March 2020 as it prepared to be captured by the robotic arm of the space station. Future Dragon's primary goal is to provide and use a new spacecraft that can instantly connect to the international space station.

Furthermore, the federal government's initiatives and strong support in the form of grants to businesses and academic institutions to develop cutting-edge satellite and imaging technology are also anticipated to have a positive impact on the expansion of the space logistics sector in the U.S. For instance, in April 2020, the U.S. Department of Education announced a competition for high school students to design a space mission. CTE Mission: The U.S. Department of Education developed CubeSat as a national competition to encourage students to develop technical skills for employment in space. Such efforts by the U.S. government agencies are anticipated to stimulate the country's space logistics business.

The development of sophisticated satellites in Canada is motivated by the surge in demand for Earth observation (EO) data as well as the Canadian Space Agency's (CSA) funding company smartEarth, which assists Canadian businesses in developing and implementing EO data-based applications. For instance, Kepler Communications, a leader in Canadian satellite telecommunications, declared that production would begin in Toronto at its recently built satellite manufacturing facility in January 2020. It's a significant step toward the company's objective of launching a fleet of 140 tiny satellites to offer high-capacity global connection services to the transportation, government, agricultural, research, and maritime sectors. The expansion of the satellite manufacturing sector in Canada has been attributed to the commercial space industry's increased focus on developing sophisticated satellites for a variety of uses. These growing applications of satellites and an increasing number of satellites across Canada are expected to drive the growth of the market during the forecast period.

Europe is expected to be the second largest market in space logistics. The space logistics industry in Europe is being driven by the increased focus of European academic institutions on space exploration operations. It is anticipated that increased cooperation between the civil, defense, and space industries in the European region will accelerate the expansion of the space logistics sector.

COVID-19 Impact Analysis

Adverse impacts of the COVID-19 pandemic have resulted in interruptions in activities and initiatives regarding the development of space logistics services. The COVID-19 pandemic is anticipated to delay developments regarding space logistics that were in full throttle before the outburst of the virus worldwide. However, with space exploration missions and growing space activities, the space logistics market is anticipated to witness rapid growth during the forecast timeline (2030–2040).

KEY FINDINGS OF THE STUDY

• By operation, the space situational awareness segment is anticipated to exhibit significant growth in the near future.
• By payloads, the spacecraft and satellites Systems segment is anticipated to exhibit significant growth in the near future.
• By region, North America is anticipated to register the highest CAGR during the forecast period.

Key players operating in the global space logistics market include ArianeGroup, ATOMOS SPACE, Deutsche Post DHL Group, D-Orbit SpA, EXOLAUNCH GmbH, Exotrail, Impulse Space, Inc., Launcher Inc., Momentus Space, Northrop Grumman, Space Machines Company Pty Ltd., and Yusen Logistics Co., Ltd.